TrentZor
Member
I notcied some were asking questions on this so thought for the guys who are into this could help out with tips and questions?
Im currently at 4 houses at the moment 5 years into the game.
Currently buying one every year for next 10 years.
My Tips
- Research research - Location for capital growth (u can get reports from various websites to find out growth of sites within last 7 years). I look for min 5%+ growth per year.
- Low rental vacancies (u can find this info by asking the suburbs real estate agents books)
- Buy a shit property in a good area. Say for e.g if the house u were buying is a mediocre 400k but stood next to its neighbours on the street which were ALL double story and they were worth 600k+ Eventually those neighbours will bring your property up
- Buy a shabby property above and "flip" it by spending 60k on renovations. When a couple buys a house the female ALWAYS walks into the kicthen first. Dont go cheap on the kitchen its the selling point. Paint is cheap and is does wonders. Once u flip that 400k house u could resell it for 550k.
- never pay interest plus capitol on your investment home. You want to free up as much of your cash reserves as possible to buy more properties. It could mean u pay 400g/month less. That 400g could be put into saving for another home.
- Take mortgage insurance. Sure u pay around 7-10k to the bank but it lowers your 60k deposit to 30k. The 30k u just didnt spend you could buy another property. So u have now 2 instead of one.
- Your goal is to buy neutral or positive geared properties in the long run so they pay for themselves year after year till your 60.
Theres plenty more tips which im sure most of the other guys here who do the commercial route can input.
Im currently at 4 houses at the moment 5 years into the game.
Currently buying one every year for next 10 years.
My Tips
- Research research - Location for capital growth (u can get reports from various websites to find out growth of sites within last 7 years). I look for min 5%+ growth per year.
- Low rental vacancies (u can find this info by asking the suburbs real estate agents books)
- Buy a shit property in a good area. Say for e.g if the house u were buying is a mediocre 400k but stood next to its neighbours on the street which were ALL double story and they were worth 600k+ Eventually those neighbours will bring your property up
- Buy a shabby property above and "flip" it by spending 60k on renovations. When a couple buys a house the female ALWAYS walks into the kicthen first. Dont go cheap on the kitchen its the selling point. Paint is cheap and is does wonders. Once u flip that 400k house u could resell it for 550k.
- never pay interest plus capitol on your investment home. You want to free up as much of your cash reserves as possible to buy more properties. It could mean u pay 400g/month less. That 400g could be put into saving for another home.
- Take mortgage insurance. Sure u pay around 7-10k to the bank but it lowers your 60k deposit to 30k. The 30k u just didnt spend you could buy another property. So u have now 2 instead of one.
- Your goal is to buy neutral or positive geared properties in the long run so they pay for themselves year after year till your 60.
Theres plenty more tips which im sure most of the other guys here who do the commercial route can input.